Medical expenses deductions
Medical expenses deductions are part of a system whereby if the amount of medical care costs paid in one year,including those of family members, exceeds a certain standard, you can file a final tax return with the tax office to have the excess amount of medical care costs deducted from your taxable income and have some of your taxes refunded.
Calculation Method
Deductions for medical expenses are calculated in this manner.
Examples of cases in which medical expenses can be deducted
→ ¥4 million x 5% = ¥200,000 > ¥100,000
¥500,000 － ¥350,000 － ¥100,000 = ¥50,000 ( Amount of deduction for medical expenses )
When is the filing period for final tax returns?
| Application period | The filing period for a final tax return is the one-month period from February 16 through March 15. |
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| Required documents |
The documents and other items needed include the final tax return form which can be prepared at the National Tax Agency website, your certificate of income and withholding tax, your official seal,and your deposit passbook of the account where you would like to receive your reimbursement. * Receipts such as medical expenses and pharmaceuticals related to the final income tax return must be kept at home for 5 years. |
The self-medication tax system(special exception for medical expense deductions)
Under this system,by completing a final income tax return, taxpayers who receive health examinations, vaccinations,or other services for the purposes of health maintenance and promotion or disease prevention and purchase more than 12,000 yen's worth of eligible over-the-counter drugs per year may deduct from their annual gross income the amount of such costs in excess of ¥12,000(up to a maximum of ¥88,000).